Acquisition Structure
IG Group has acquired a 70% stake in Australian cryptocurrency exchange Independent Reserve for 109.6 million Australian dollars ($72.4 million), with the potential total deal value reaching 178 million Australian dollars ($117.6 million) if performance targets are met. The agreement includes an option for IG to purchase the remaining 30% based on Independent Reserve’s performance in 2027 and 2028. The exchange, operational in Australia and Singapore, offers trading for 34 cryptocurrencies and reported $23.3 million in revenue for the fiscal year ending June 2025, an 88% year-over-year increase.
Strategic Implications
This acquisition provides IG Group with immediate access to the Asia-Pacific crypto market, complementing its existing offerings in the U.K. and U.S. Independent Reserve’s established regulatory compliance and growing user base 129,400 funded accounts with $1.12 billion in assets under custody position IG to expand its institutional and retail crypto services. However, integrating a traditional brokerage with a crypto exchange presents operational and regulatory challenges, particularly amid evolving compliance requirements in regions like Singapore and Australia.
The deal’s phased structure mitigates initial risk for IG while aligning incentives with Independent Reserve’s growth targets. The transaction is expected to close in early 2026 pending regulatory approvals. For the broader market, this move intensifies competition in the APAC region and underscores the growing institutional interest in crypto infrastructure investments.
Key Takeaways
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IG gains a regulated foothold in Australia and Singapore’s crypto markets.
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Independent Reserve’s strong growth (60% increase in monthly active users) enhances IG’s regional competitiveness.
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Regulatory approvals from MAS (Singapore) and FIRB (Australia) are pending.
This acquisition reflects IG’s strategic bet on the APAC crypto market’s potential, though its long-term success will depend on seamless integration and adaptive regulatory navigation.
